Figma Inc., Class A (FIG)

Figma Inc. (FIG-N), a cloud-based collaborative design platform, has experienced a rollercoaster since its IPO in the summer of 2025, currently trading at around $15.3 billion, down 18% year-to-date. Once targeted for acquisition by Adobe, which would have offered a higher valuation, Figma's worth has diminished to approximately $10 billion. Despite decent sales, the company remains unprofitable and faces challenges in a competitive market. While some experts appreciate its potential in the AI space, there is caution surrounding its high valuation of 138X forward earnings and negative price momentum, leading to a general sentiment of uncertainty among investors and analysts. Solid cash reserves of $1.6 billion contrast sharply with concerns over profitability and overall investor sentiment towards software stocks.